Cost Justification Analysis
Residential
Cost Justification Analysis - Ground Source Energy Solution
6000 Sq. ft. home Atlanta, GA.
Investment Assumptions (averages only - not an actual case study)
• Cost of internal equipment and installation is equal to that of traditional HVAC.
• 1 ton AC is required per 1000 Sq Ft living space
• Average HVAC gas/electric bill is estimated at $1/sq. ft. /year.
• 6000 Sq. ft. would cost $6,000 to heat/cool
• Your up front investment in capturing the earth energy through your Geothermal loop field is approximately $2,500 per ton X 6 Ton requirement equals $15,000
• Per ISGSHPA and US Department of Energy GSHP cost savings are a minimum of 40% over the best AC/ Furnace and/or air to air Heat Pumps.

Using the lowest of estimates at 40% savings of the $6,000 per year combined Gas/Electric equals $2,400/year or $200/month.

Your $15,000 investment in your geothermal loop field to capture earth energy if included in your 30 mortgage at 6% is only $90 per/month.


Given these assumptions and if this is new construction your investment in Geothermal Energy results in a minimum of $110 per month positive cash flow plus all the benefits of Ground Source Energy for a lifetime.

Your own numbers will likely look better as you calculate the elimination of your gas bill for heating your home – save up to 60 % on your hot water bills and 40% on your home cooling.

Thinking of converting?

A 12 year old 5800 Sq Ft home with traditional natural gas furnace and AC in Atlanta GA. saved $3053/ year switching to the new, energy efficient, and environmentally clean Geothermal System. Natural gas went from $4,658/year to $1635/year (kept their new gas Hot Water) and electric went from $3406 to $3,376 per year.